Business Statistics

Facilitator: Dr. Abhijeet Lele

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Quick Recap
• Relevance of Business Statistics in scientific approach of problem
solving

• Why we should learn Business Statistics?

• Measures of Central Tendency

• Mean
• Median

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Mode

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Example
• 9 people take a test. Their scores out of 100 are:
56, 79, 77, 48, 90, 68, 79, 92, 71
Find out the mean, median, and mode of their scores.

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Exercise
• Yash recorded the heights of members of her extended family, to the
nearest cm. Find the mean, median, mode of their heights (listed
below):
163, 185, 164, 170, 188, 154, 168, 179

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Measures of Dispersion
• Standard Deviation

• Variance

• Range

• Percentile and Quartiles

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Standard Deviation

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Empirical Rule
• The empirical rule states that for a normal distribution, nearly all of
the data will fall within three standard deviations of the mean. The
empirical rule can be broken down into three parts:

• 68% of data falls within the first standard deviation from the mean.
• 95% fall within two standard deviations.
• 99.7% fall within three standard deviations.
• The rule is also called the 68-95-99 7 Rule.

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Example
• Four friends were comparing their scores on a recent essay. Calculate
the population standard deviation of their scores:
6,2,3,1

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Exercise
• A sample of 4 employees was taken to see how many project they
have completed in their current organization. Calculate the sample
standard deviation for no. of projects completed by employees:
2, 2, 5, 7

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Exercise
• Find the standard deviation of likes received on your Facebook post.
Below is the list of no. of likes received on your sample of 9 posts:
4, 9, 11, 12, 17, 5, 8, 12, 14

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Variance
• Population Variance = σ2

• Sample Variance = s2

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Range
• Range = Highest Value- Lowest Value

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Percentile and Quartile

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Example
Following are test marks of 9 students who wrote Business Statistics
test (max marks 25). Find Q1, Q2, Q3 of the data set
3, 7, 8, 5, 12, 14, 21, 13, 18

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Exercise
Following are test marks of 10 students who wrote Business Statistics
test (max marks 25). Find Q1, Q2, Q3 of the data set
3, 7, 8, 5, 12, 14, 21, 15, 18, 14

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 Thank You !

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